Airline Stock Roundup: DAL, UAL Suspend Israel Flights, JBLU, CPA in Focus

Delta Air Lines DAL and United Airlines UAL joined many other carriers across the globe to cancel flights to Israel due to the Iran-Israel tensions. Apart from the Israel-Iran tensions-induced flight cancellations, United Airlines was also in the news due to its in-flight collaboration with Spotify Technology SPOT. JetBlue Airways JBLU was also in the news in the past week due to a customer-friendly gesture. Copa Holdings CPA was also in the news courtesy of its impressive traffic numbers for May. Mexican carrier Controladora Vuela Compañía de Aviación VLRS or Volaris reported a year-over-year increase in revenue passenger miles (RPMs: a measure of air traffic) for May.Read the last Airline Stock Roundup here.Recap of the Most Recent Important Stories1. JetBlue’s subsidiary, JetBlue Vacations, powered by Paisly, announced the expansion of its Insider Experience program to San Juan, Puerto Rico. The JetBlue Vacations Insider Experience program was launched in 2020 and is currently available in Aruba, Cancun, Montego Bay, Punta Cana, Nassau, St. Lucia, and Tulum. Per the new expanded vacation package, all JetBlue Vacations customers booking a flight + hotel package to San Juan will also enjoy a free guided walking tour of Old San Juan, in partnership with the Municipality of San Juan.2. Per UAL’s collaboration with Spotify, the latter’s video and audio podcasts, audiobooks, and specially curated versions of Spotify's most popular playlists will be offered for free on more than 680 United planes. UAL’s customers shall enjoy the onboard streaming services on its new 4K, Bluetooth-enabled seatback screens. The partnership is aimed at elevating the traveling experience of UAL customers by offering Spotify's in-flight streaming services for free.3.  The Iran-Israel conflict has caused many airlines to suspend or cancel flights to parts of the Middle East. Joining the list, Delta has announced the suspension of its direct service between New York-JFK and Tel Aviv until at least Aug. 31, 2025, due to the deteriorating security situation in Israel and continues to monitor the region for any changes. Affected customers have been offered refunds or the option to rebook on alternate dates or routes. United Airlines, too, has suspended its Tel Aviv flights through July 31.4. Volaris reported a 9% year-over-year increase in consolidated capacity (measured in available seat miles). The load factor (% of seats filled by passengers) decreased 4.3 percentage points to 81.8% on a consolidated basis. The metric fell as the increase in consolidated traffic (3.5%) was less than the increase in consolidated capacity. During May, Volaris transported 2.5 million passengers, up 4.2% year over year.5. Driven by high passenger volumes, revenue passenger miles (a measure of traffic) improved on a year-over-year basis in May at Copa Holdings. To match the demand swell, CPA is increasing its capacity. In May, available seat miles (a measure of capacity) increased 7% year over year. Revenue passenger miles increased 7.5% year over year. Since traffic growth outpaced capacity expansion, the load factor rose to 87.6% from 87.3% in May 2024.CPA currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.Airline Stocks PerformanceThe following table shows the price movement of the major airline players over the past week and during the last six months. Image Source: Zacks Investment ResearchThe NYSE ARCA Airline Index decreased 5.2% to $55.32 as all airline stocks were trading in the red over the past week. Oil prices spiked due to Israel’s attack on Iran, leading to the decline. Over the past six months, the NYSE ARCA Airline Index has decreased 17%.What’s Next in the Airline Space?Industry watchers will be closely monitoring further updates on the Israel-Iran conflict and the resultant impact on oil prices and airline stocks.  7 Best Stocks for the Next 30 DaysJust released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers "Most Likely for Early Price Pops."Since 1988, the full list has beaten the market more than 2X over with an average gain of +23.5% per year. So be sure to give these hand picked 7 your immediate attention. See them now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Delta Air Lines, Inc. (DAL): Free Stock Analysis Report United Airlines Holdings Inc (UAL): Free Stock Analysis Report JetBlue Airways Corporation (JBLU): Free Stock Analysis Report Copa Holdings, S.A. (CPA): Free Stock Analysis Report Controladora Vuela Compania de Aviacion, S.A.B. de C.V. (VLRS): Free Stock Analysis Report Spotify Technology (SPOT): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks